Managing service quality in high customer contact B2B services across domestic and international markets

This research aims to examine the nature of the moderating influence of empowerment on the effect of service training and internal marketing on service quality in a high customer contact B2B setting, and to investigate the differential effects of internal marketing, service training, and empowerment on service quality across domestic and international operations. Data from 880 customer-contact employees show several direct and interaction effects. Our analysis shows that the three focal variables, internal marketing, service training and empowerment positively relate to service quality. Our results support a positive moderating influence of empowerment on the relationship between internal marketing and service quality, and between service training and service quality. Finally, our hypotheses for the moderating influence of type of service operations (domestic/international) on the effect of internal marketing and service training on service quality were also supported. Our results suggest that offering service employees the skills, ability and power to do their job is essential in both domestic and international operations, and also helps maximize the effects of a firm's internal marketing efforts and service training. Overall, the findings inform managers as to how their employee focused strategies for service quality can be managed effectively across domestic and international markets. •Internal marketing, service training and empowerment positively relate to service quality.•Empowerment positively enhances the relationship between internal marketing and service quality.•Empowerment positively enhances the relationship between service training and service quality.•The impact of service training on service quality is stronger in international operations, compared to domestic operations.•The impact of internal marketing on service quality is stronger in domestic operations, compared to international operations.